Compass Diversified expanded its non-reliance warning to include 2022 and 2023 financial statements as the probe into irregularities in its jewelry retail subsidiary’s accounting practices continues. No additional details have been revealed since the initial announcement a month ago, which called out issues with reporting of Lugano’s sales, COGS, inventory, and accounts receivable, and said that 2024 financial statements should not be relied upon. The company also has not filed its 2025 10-Q, which resulted in a compliance letter from the NYSE.

CODI’s share price tumbled more than 60% on the news, ... Log in to view full article.